U.S. prosecutors have indicted a key figure of the OneCoin Ponzi scheme for wire fraud, securities fraud and money laundering.
Karl Sebastian Greenwood was indicted in February 2018, according to document of the Court. OneCoin - a notorious investment scam, perhaps the most notable name in a series of pyramid schemes focused on digital currencies, has been around for the past five years. Greenwood was arrested in mid-November 2018, according to a Bangkok Post report.
The indictment accuses Greenwood of trying to deceive investors into buying OneCoin's investment packages - which the leaders claimed could later be used to "exploit" OneCoin. Like many Ponzi models, the main purpose of the participants is to sell the investment packages and invite new people to join the project.
According to court documents, such enticing efforts have helped OneCoin earn "over $ 1 billion in investment" from 2014 to January 2018.
The prosecutor wrote:
"... Greenwood and his centipedes, made false and deceptive statements to entice individuals around the world, including the southern New York district, to invest in 'OneCoin' - a purpose-built cryptocurrency, and instructs these individuals to transfer their investment money into OneCoin deposit accounts to purchase OneCoin packages, from which individuals deposit money to form a modern international and federal line. represent their OneCoin investments, and lead to OneCoin-related bank accounts receiving over $ 1 billion in investor funds. ”
According to BehindMLM.com's report, Greenwood's pre-trial discussion is scheduled for June 3.
Other key figures, including those who led the OneCoin scam line, Ruja Ignatova and Konstantin Ignatov, were well-targeted by the US authorities, despite Ignatova - often called "Cryptoqueen". still hiding. Meanwhile, Ignatov - the younger brother of Cryptoqueen, was arrested in March 2018 at the time of the prosecution.
“According to the allegations, these defendants created a multi-billion dollar cryptocurrency company based entirely on lies and fraud. They promise huge profits and extremely low risks, but, allegedly, this business is just a more pyramid scheme than nothing else, ”Geoffrey S. Berman - Southern District Attorney New York , said at that time.
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According to The Block
Translated by ToiYeuBitcoin